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O2 slashes STG100 off iPhone price
16-04-2008
by Silicon.com
The price of Apple's UK iPhone has been slashed by mobile operator O2 -- fuelling speculation a 3G version will be launched this summer.
The 8GB iPhone can now be bought for STG169 until 1 June 2008 -- reduced from STG269 -- on O2's 18-month contract, which includes data browsing and free access to The Cloud's 7,500 Wi-Fi hotspots. The offer is subject to stock availability.
The price cut means the 8GB iPhone is now cheaper than the 8GB iPod Touch, which sells in the UK for STG199.
The 16GB iPhone remains priced at STG329.
The price cut will also fuel speculation that O2 is trying to shift stock before the much-rumoured launch of a 3G version of the iPhone in June.
Both Apple and O2 remain tight-lipped on the 3G iPhone speculation but analysts at the Bank of America predict Apple will launch the high-speed wireless version of the device in the second quarter of this year and produce up to eight million handsets in the third quarter.
O2 maintains the iPhone has been key to attracting new high value customers, with 60 percent of iPhone customers new to O2 and 30 percent of iPhone customers spending on average 30 percent more than others on pay monthly tariffs.
Andy McCue writes for Silicon.com.
Reprinted with permission from Silicon.com
ENN note: Here in Ireland, where the iPhone has been on sale for just over a month, a spokesperson for O2 told ENN the mobile operator had no plans for a similar price reduction but that it will continue to look at prices and consumer reaction to the handset.
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